Toward a Robust Marketplace for Philanthropy

Beyond such informal — and often unreliable — sources of information as word of mouth and marketing brochures, facts about the effectiveness of nonprofit organizations are remarkably elusive. The problem is compounded by the complexity of the philanthropic impulse, with givers potentially motivated by a host of factors other than having an impact. Contributing to a noble cause, pleasing friends, and habit each can play a larger role in giving than whether an organization actually makes progress toward accomplishing its goals.